You can soon use Starlink on your American Airlines flight
What's the story
American Airlines has announced its plan to install SpaceX's Starlink Wi-Fi on over 500 of its narrow-body Airbus aircraft. The deployment will begin in early 2027, with the new A321XLR and A321neo models being the first to get the upgrade. The move comes as part of a broader trend among airlines looking to improve their in-flight connectivity services by partnering with satellite internet providers like Starlink.
Market advantage
Starlink's growing dominance in the satellite internet market
Starlink, a low Earth orbit satellite network, has been winning contracts with airlines and cruise operators. The service provides broadband internet for both consumers and enterprise customers such as American Airlines. This latest deal not only boosts Starlink's revenue but also gives SpaceX an edge over competitors like Amazon Leo and legacy providers such as Viasat.
Service comparison
Speed tests show significant advantage of Starlink
Starlink's low Earth orbit satellites provide lower latency internet due to the shorter distance signals have to travel. A report from Ookla found that flights powered by SES reported median download speeds of 61.61Mbps, while those powered by Starlink averaged at a whopping 152.37 Mbps.
Revenue stream
SpaceX's recent IPO filing sheds light on its financials
SpaceX's recent IPO filing revealed that Starlink is the company's cash cow, generating around $11 billion in annual revenue. The division is also its only consistently profitable one. The global network of Starlink is designed to eliminate "dead zones" and ensure connectivity on high-latitude routes that are often difficult for traditional providers.